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Gold for oil will increase debt stock – Minority cautions

Philip Akonor by Philip Akonor
March 17, 2023
in News
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Gold for oil will increase debt stock – Minority cautions
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The Minority in Parliament is warning the country’s debt stock risks accumulation as a result of the government’s gold for oil policy.

Despite criticism of the policy and concerns about the deal’s viability, the government claims that it has contributed to the drop in fuel prices.

During a debate on President Akufo-Addo’s State of the Nation Address, Deputy Minority Leader Emmanuel Armah Kofi Buah denied the assertion and outlined some risks associated with the move.

“The reason fuel prices have gone down is because crude prices on the international market have reduced from over US$100 dollars to US$72. It has nothing to do with Gold for Oil and Bawumia. If we are not careful, it is going to create a huge debt. So now the Bank of Ghana financing the importation of this product exposing us and putting Ghana at risk”, he said.

However, Deputy Minister of Energy Andrew Egyapa Mercer says the intervention will help address the exchange rate’s challenges.

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